A bit late, but this matters đ
First, a key correction:
That instant red candle wasnât institutions. Big money doesnât react in seconds.
The first drop was mostly retail + algos reacting to the headline.
The real story is deeper.
For years, Japanâs near-zero rates made the Japanese Yen a funding currency.
Institutions borrowed cheap Yen â converted to USD â invested in higher-yield assets
(stocks, bonds, and yes⊠Bitcoin).
This is called the Yen Carry Trade.
Now the shift:
đŻđ” Japan is hiking rates
đșđž The US is cutting rates
Thatâs a double squeeze: âą Borrowing in Yen becomes expensive
âą Returns in USD start shrinking
âą Carry trades lose their appeal

â ïž This pressure doesnât hit instantly.
It builds up and shows later â thatâs when institutions adjust positions.
Looking ahead đ
A few more Japan hikes + Fed cuts could change global flows in a big way.
2026 may reveal the real impact.
Markets donât just move on news â they move on liquidity shifts. đđ
#Bitcoin #BTC #Macro #yencarrytrade #interestrates #CryptoMarket #Binance
